payfac vs gateway. The PayFac would also need to hire a FTE to take exceptions and review these exceptions for risk. payfac vs gateway

 
The PayFac would also need to hire a FTE to take exceptions and review these exceptions for riskpayfac vs gateway  Learn the similarities and the key differences in how they operate

What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. It makes you analyze all gateway features. There are two ways to payment ownership without becoming a stand-alone payment facilitator. Stripe, a tech-enabled evolution on the traditional payfac model, offers a complete solution that combines the functionality of a merchant account and a gateway all in one. A facilitator provides merchants with their own Merchant ID under a master. Many large banks, for example, issue credit. What is a payment facilitator, and what is payfac-as-a-service? Here’s what businesses need to know about how payfac solutions work. Further, by integrating payments functionality into a software. ) and network cards (credit/debit cards). At Revision Legal, we protect businesses that thrive online, and understand the connections between law, technology, and business. It also needs a connection to a platform to process its submerchants’ transactions. While both models allow businesses to accept payments, a payfac might provide additional services such as payment gateway integration, hardware for in-person payments, fraud protection, transaction reporting and customer support. using your provider’s built-in tokenization and gateway solution can greatly reduce your Payment Card Industry (PCI) scope. Payfacs with high standards and reliability based on the Visa's certification process may apply for two extended tiers: Visa Ready Payment Facilitator and Visa Trusted Partner. The payment facilitators reach out to your business and help integrate a seamless payment gateway network technology. It runs about 40 minutes (really shooting to be less than 30) and we discuss the differences in payfac vs ISO and where payfac is heading. Find the Right Online Payment Gateway. Proven payment technology helps businesses pay and get paid so they can focus on what matters most. €0. 00 Retains: $1. However, PayFac concept is more flexible. The payment facilitators themselves: which are companies providing the necessary infrastructure and allows their sub-merchants to accept payments via credit card. Onboarding processAccess Worldpay is a simple, fast, modern and secure integration to the most advanced payment gateway. Payment facilitator model is becoming increasingly popular among many types of companies. ISOs. All transactions are aggregated under one master merchant account and all funds are settled in the PayFac’s bank account. It is significantly less expensive compared to using a regular PayFac model. 10 to $0. as a national independent sales organization in 1989. The main difference between a payment aggregator and a PayFac is the type of merchant ID (MID) used to differentiate accounts. However, businesses of all sizes can gain profit from UniPay PayFac Model, as it provides a mere and efficient way to accept payments. Moreover, in a sense, PayFac model relieved acquirers from merchant management functions, which they delegated to PayFacs. Both offer ways for businesses to bring payments in-house, but the similarities. Gateway Service Provider. The expansion of marketplaces has allowed the emergence of integration of payment services via the PayFac concept. Payment Facilitator. When you connect with BlueSnap’s Global Payment Orchestration Platform, we provide you with the merchant account. Stripe benefits vs merchant accounts. Also, many PSP’s/Payfac’s offer better integration with online businesses, as the payment gateway tends to be seamlessly bundled in. Stripe By The Numbers. This means businesses only need Stripe to accept payments and deposit funds into their business bank account. The terms acquiring and issuing refer not to specific banks, but to where those banks are in the transaction flow. The biggest advantage is you will get approved far quicker, and in some cases immediately. When this happens, your business can make and receive payments online using third-party payment networks (Venmo, PayPal, etc. Additionally, the overall integration was a seamless process, which made it easier for us to continue focusing on our product and customers. becoming a payfac. You essentially become a master merchant and board your client’s as sub merchants. Generally, ISOs are better suited to larger businesses with high transaction volumes. If you want to become a payment. Stripe provides a way for you to whitelabel and embed payments and financial services in your software. Potential risk of. TSYS Developer Portal is your gateway to access the APIs, tools and resources you need to integrate with TSYS payment solutions. For some ISOs and ISVs, a PayFac is the best path forward, but for others owning the payments process, end-to-end is a long way. Payment. The PayFac then redistributes funds to its sub-merchants, and handles any future refunds or chargebacks. Unlike payfacs, ISOs set up individual merchant accounts for each business they service. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. What ISOs Do. Think debit, credit, EFT, or new payment technologies like Apple Pay. 🌐 Simplifying Payments: PayFac vs. 3. NMI By signing up with NMI as a reseller, you can offer your merchants complete payment solutions that enable them to begin selling right away; Authorize. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. The platform becomes, in essence, a payment facilitator (payfac). A Payment Facilitator (PayFac) is a third-party service that lets merchants accept various forms of non-cash payments like credit/debit cards or digital payments. PayFacs are based on the merchant aggregator model created by Visa and MasterCard to provide support for payment card acceptance in marketplaces. ISO vs. In almost every case the Payments are sent to the Merchant directly from the PSP. When you enter this partnership, you’ll be building out. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. Sub-merchants operating under a PayFac do not have their own MIDs, and all transactions are processed through the facilitator’s master merchant account. It can also. Likewise, it takes a lot of work and expenses to become a PayFac. Cards and wallets. Indeed, some prefer to focus on online payment gateway fees comparison. Managed PayFac or Managed Payment Facilitation – The 2023 Guide. Especially, for PayFac payment platforms and SaaS companies. It needs to obtain a merchant account, and it must be sponsored into the card networks by a bank. Connection timeout. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. This means businesses only need Stripe to accept payments and deposit funds into their business bank account. Payfac-as-a-service vs. It also means that payment risk is moved from individual merchants to the PayFac, as they own the master merchant account. Payfac: A payfac operates under a master merchant account, and creates subaccounts for each business it services. Payment gateway Payfacs provide a payment gateway, a software that acts as an intermediary between a business’s website and the payment processor. UniPay Gateway is the leading Omnichannel payment processing and management solution for PayFacs, Saas and equity firms operating worldwide. What SaaS & E-commerce Companies Need to Know About Payment Facilitator Regulations, and what key regulations govern their operation. It’s used to provide payment processing services to their own merchant clients. The timeout indicates that connection with the back end is impossible, and the server, to which the data needs to be transferred, cannot be reached. When PayFac became a buzzword among software platforms and the many businesses trying to sell to them, the meaning of the word started to blur. By adopting a white-label payment gateway, a payment facilitator can eliminate the need to develop their own payment system from the ground up and. PINs may now be entered directly on the glass screen of a smartphone using this new technology. “One of the largest challenges a new PayFac will face is meeting the rigorous demands of its sponsorship bank,” says CJ Schneller, Vice President of Enterprise Risk at MerchantE. Payment facilitator model is suitable and effective in cases when the sub-merchant in question is a medium- or large-size business. Some more important things to consider are:Merchant Account. These terms are often used interchangeably, but while they’re interconnected, they can’t be used to describe the same thing. Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. Classical payment aggregator model is more suitable when the merchant in question is either an. When you want to accept payments online, you will need a merchant account from a Payfac. There are two ways to payment ownership without becoming a stand-alone payment facilitator. While both models allow businesses to accept payments, a payfac might provide additional services such as payment gateway integration, hardware for in-person payments, fraud protection, transaction reporting, and customer support. While both models allow businesses to accept payments, a payfac might provide additional services such as payment gateway integration, hardware for in-person payments, fraud protection, transaction reporting and customer support. It needs to obtain a merchant account, and it must be sponsored into the card networks by a bank. Payment Gateway: A payment gateway is technology used to accept integrated payments. A payment processor executes the money transfer by exchanging data between the merchant, the issuing bank and the acquiring bank. Wide range of functions. The white-label payment facilitator model ( PayFac in a box) is a try-it-before-buy-it solution for prospective PayFacs. In other words, processors handle the technical side of the merchant services, including movement of funds. The differences are subtle, but important. The full-function platform has been designed to deliver Acquirers with a comprehensive Third Party Payment Facilitator programme, as well as a. GATEWAY STANDARD. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. PayFac vs merchant of record vs master merchant vs sub-merchant. 2. Payment facilitators, aka PayFacs, are essentially mini payment processors. One of the reasons for this phenomenon is that many companies (including former independent sales organizations (ISO)) find it more profitable to combine the functions of an online gateway provider and a merchant service provider (MSP). Stripe provides a way for you to whitelabel and embed payments and financial services in your software. PayFac vs ISO is an illustrative example of natural selection and adaptation in the fintech world. To become a Mastercard merchant, simply contact an acquirer for a merchant account application. Fortis manages everything for you – underwriting, fraud monitoring, funding, gateway reporting, and chargeback management. By using a payfac, they can quickly. Evolve Support. You own the payment experience and are responsible for building out your sub-merchant’s experience. Simplify funding, collection, conversion, and disbursements to drive borderless. Step 3) Integrate with a payment gateway As with any merchant account, a PayFac’s master merchant account requires a payment gateway for transactions to flow through. However, it is difficult to determine whether this price is high or low without knowing what features the gateway offers. Accept in-Person Payments. Priding themselves on being the easiest payfac on the internet, famously starting. PayFac has its own secure gateway, and it provides easy integration with major e-commerce shopping carts. PayFac as a Force MultiplierWhat is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. A Payment Facilitator (PayFac) is a type of merchant services company that provides business owners with a way to accept electronic payments, both online and in-store. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. A best-in-class payment solution. Through educational initiatives, financial institutions can help accountholders protect themselves. The terms aren’t quite directly comparable or opposable. Global expansion. A Payment Facilitator, or PayFac, is a sub-merchant account used by merchant service providers to provide payment processing services to their own clients, known as sub-merchants. S. Payfac solutions can be a critical source of revenue generation, allowing ISVs to differentiate their product and service offerings in a crowded space. Global expansion. You own the payment experience and are responsible for building out your sub-merchant’s experience. Payroc LLC, together with its wholly-owned affiliate Payroc Processing Systems, LLC, is a registered Visa third party processor (TPP), Mastercard third party servicer (TPSV), payment facilitator. 2. Wide range of functions. Meanwhile, PayPal and Square collectively generated revenues of $22 billion. Suitability Payment aggregator: Particularly suitable for small and medium-sized businesses that seek a simplified onboarding process and cost-effective payment. Maybe you are ready to become a full-fledged PayFac, maybe the answer is a managed PayFac, or maybe the best solution would be to act as an ISO. Stripe provides a way for you to whitelabel and embed payments and financial services in your software. A SaaS or PayFac, usually, needs to dedicate much more considerable effort to integration and certification. What is a payment facilitator? A payment facilitator, also known as a “payfac” or payment aggregator, is a payment model that has grown tremendously over the past few years. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. Payment processors and payment facilitators both help enable businesses to accept and manage payments—but they’re not the same. The payment facilitator model was created by the card networks (i. June 3, 2021 by Caleb Avery. A Payment Facilitator or PayFac simplifies merchant account enrollment which allows smaller companies to quickly gain the upper hand. A Payment Facilitator or PayFac simplifies merchant account enrollment which allows smaller companies to quickly gain the upper hand. See Creating a Batch Request . Read and Know more about Payment Aggregators in this blog of Basic Points of Difference between the Payment Gateway and Payment Aggregator A PayFac will function as a payment facilitator in this general sense (though it's important to note the differences outlined above), and you can use a payment gateway to translate data between the PayFac and the credit card providers. 5%. With UniPay Platform you have the options of an affordable white label payment gateway solution, a full on-premise software license (including the source code), which ensures the top-quality payment processing. Onboarding processPayrix is the only PayFac ® as a service platform built by a payment facilitator, exclusively for software platforms. What SaaS & E-commerce Companies Need to Know About Payment Facilitator Regulations, and what key regulations. Becoming a PayFac With NMI. merchant accounts. A payment gateway and merchant account often cost between $750 to $1,200 in set-up expenses, $0. PayFac and online marketplace models do not compete, they are just intended to serve slightly different purposes. Contact us. The Job of ISO is to get merchants connected to the PSP. merchant accounts. This means that businesses only need Stripe to accept payments and deposit funds into their business bank account. Step 4) Build out an effective technology stack. When choosing between a Payment Facilitator (Payfac) and a Merchant of Record (MoR) for your business, several key factors should be carefully considered: 1. This solution involves you partnering with either (1) an acquiring bank or (2) an acquirer and a payment facilitator vendor. The ISO acts as an intermediary between the merchant and the payment processor, taking care of merchant recruitment, sales, and ongoing merchant. 01332 477 853. When you start accepting payments online, you need a merchant account from a payment facilitator with sufficient infrastructure and proper compliance to process payments . Both offer ways for businesses to bring payments in-house, but the similarities. PayFac is software that enables payments from one vendor to one merchant. Grow with the experts. + 1. These plans are on top of what you'll pay for Stax Pay. Until recently, SoftPOS systems didn’t enable PINs to be inputted. UniPay Gateway is the leading Omnichannel payment processing and management solution for PayFacs, Saas and equity firms operating worldwide. Besides that, a PayFac also takes an active part in the merchant lifecycle. Payment gateway Payfacs provide a payment gateway, a software that acts as an intermediary between a business’s website and the payment processor. Payment facilitation helps you monetize. PayFacs provide a similar service to standard merchant accounts, but with a few important differences. Our digital solution allows merchants to process payments securely. The payment gateway provider must be able to offer you the liberty to get anyone on board and do business with them. A PayFac will smooth the path. A Payment Facilitator, commonly known as, a Payfac, has one master merchant account under which all the merchants join as sub-merchants. Here are the main considerations when deciding between a PayFac and an ISO: Onboarding - the ISO onboarding process is usually. Difference #1: Merchant Accounts. A value-added reseller concept grew popular simultaneously with PayFac, around a decade ago. Stripe, which is a tech-enabled evolution on the traditional payfac model, is a complete solution that combines the functionality of a merchant account and a gateway in one. To ensure the correct money flow, the payment. Amazon Pay. While both models allow businesses to accept payments, a payfac might provide additional services such as payment gateway integration, hardware for in-person payments, fraud protection, transaction reporting and customer support. Strategic investment combines Payfac with industry-leading payment security . Like a phone plan, Stax offers add ons to their base plans, like same day funding and custom branding for invoices-but. Online Payment System Software and Global Payment Processor - UniPay Gateway. PayFac vs ISO: 5 significant reasons why PayFac model prevails. Stand-alone payment gateways are becoming less popular. This model is ideal for software providers looking to. The TPA categories are listed in the table below. Typically a payfac offers a broader suite of services compared to a payment aggregator. 27. Stripe benefits vs. Your provider should be able to recommend realistic metrics and targets. Benefit from fault-tolerant, scalable services plus rapid, safe, data-driven product enhancements on a. 5-fold improvement in payment take rate [FN10]. 01274 649 893. Let’s examine the key differences between payment gateways and payment aggregators below. net; Merchant of Record Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. Send payouts to 190+ markets with real-time payments infrastructure for on-demand business. Today we have CardConnect, the gateway Fiserv acquired. Whether you are building a mobile app, a web portal, or a point-of-sale system, you can find the documentation, code samples and support you need to get started. Typically a payfac offers a broader suite of services compared to a payment aggregator. A PSP, on the other hand, charges a variable fee in addition to the fixed fee. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. The difference is that a payment processor can provide a single gateway for multiple payment methods. ISOs mostly. Acquiring banks willingly delegated them to payment facilitators in exchange for part of liabilities and residual revenues. Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. The main difference between the two entities is that one is a company that facilitates payments, and the other is a piece of software that integrates into a website or payment portal. This sounds complicated, but at the most basic level, a payments facilitator is a way of outsourcing part of your business to an intermediary contractor. 01274 649 895. ), and merchants. Your credit, debit, or prepaid card information is safe with us. It offers a secure pathway that requests and manages payment in order to take money from the customer and pass it into the merchant’s bank account. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. One classic example of a payment facilitator is Square. A closer look at the economics from each $1 of payment volume. Find the right payment solution to meet your unique business needs, whether you're in the restaurant, retail, automotive, personal care, or professional services business. ,), a PayFac must create an account with a sponsor bank. Respond to times of unprecedented speed and always look to the future. e. Firstly, a payment aggregator is a financial organization that offers. The PayFac does not have to underwrite all merchants upfront — they are instead, underwriting the merchants essentially as they continue to process transactions for them on an ongoing basis. The key difference between a payment aggregator vs. The PayFac model eliminates these issues as well. 0 can be both processor and gateway agnostic. Processors will act as a gateway setting their clients up with an individual merchant account while the merchant will still have a direct relationship with the acquiring bank. But for this purpose, it needs to build a strong relationship with an acquirer that will underwrite it as a PayFac. The main difference between the two entities is that one is a company that facilitates payments, and the other is a piece of software that integrates into a website or payment portal. One of the key differences between payment aggregators and payment facilitators is the size of sub-merchants they are servicing. What the PayFac builds in the above analogy are the APIs that allow merchants to integrate into its platform, the payment gateway that’s responsible for tokenization and secure transmission of card data, and the tech behind such features as reporting and merchant onboarding. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. 0. The acquirer makes the payment facilitator’s check and dictates a variety of requirements. These systems will be for risk, onboarding, processing, and more. This is. PayFac Solution Types. 01. It’s often described as ‘an electronic cash register. What is a PayFac? Benefits & Reasons Why Businesses Need One in 2023. Also, some companies, such as United Thinkers, are offering special payment facilitator programs. Bank/ credit or debit company. Aggregate processing means the funds from transactions are paid out to the PayFac first, who then distribute them to. Learn the similarities and the key differences in how they operate. Global expansion. Manage Your Payments. We accept most major cards, including Visa, MasterCard, American Express, Discover, JCB, Diners Club International and UnionPay. Global expansion. merchant accounts. We could go and build a payment gateway, but there would be a. The payment facilitator, or “PayFac”, model of merchant acquiring is growing extremely rapidly. 3 Rounds of Lottery Drawings. A merchant can simply partner with a large provider and get all the gateway features it needs within a standardized offering. Our payment-specific solutions allow businesses of all sizes to. What is a payment facilitator? A payment facilitator, also known as a “payfac” or payment aggregator, is a payment model that has grown tremendously over the past few years. PayFac® solutions, at your service Worldpay from FIS is your advocate for payment facilitator solutions. ISO does not send the payments to the. Visa Checkout + PayPal. 8% of the transaction amount plus $0. As mentioned, the primary difference between payment facilitators & payment processors lies in how merchant accounts are organized. We have APIs for all business types, whatever your size or location and whether you take payments online or at point of sale. A relationship with an acquirer will provide much of what a Payfac needs to operate. PayFacs perform a wider range of tasks than ISOs. Merchants get underwritten more efficiently, while acquirers are relieved of some merchant services, delegated to PayFacs for a reward. If your platform needs to operate internationally and support sub-merchants in other regions, partnerships with local acquirers, gateways, and other service providers may be necessary. A PayFac, or payment facilitator, is a merchant services model that streamlines the merchant account enrollment process by onboarding a merchant as a sub-account under the PayFac’s master account. Stripe benefits vs. Once approved, the sub-merchant can process payments using the PayFac’s payment gateway and infrastructure while remaining aggregated under the master merchant account. Payment Facilitator (PFAC, PayFac, PF): A merchant service provider who can facilitate transactions and simplify the merchant account enrollment process on behalf of the sub-merchant. Global expansion. 01274 649 893. This made them more viable and attractive option than traditional ISOs. €0. CardPointe payment gateway integration. In short, Payment Facilitation is an operating model that affects the acquiring side of the payment ecosystem. Payment gateway: Offers customization options to align with the business’s branding and user experience, focusing primarily on secure data transmission and transaction authorization. Gateway Selection Tips for SaaS and PayFac Payment Platforms In order to provide. This license, only the second…PayFac, which is short for Payment Facilitation, is still a relatively new concept. Finally, web. A payment facilitator, commonly known as a payfac, occupies one of the central roles within the payment processing ecosystem, yet it causes significant confusion. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. Payment method Payment method fee. Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. In simple terms, the MOR is the name that the customer (cardholder). Here’s how Visa defines payment facilitators and sponsored merchants: “PayFac or merchant aggregator, a payment facilitator is a third party agent. January 25 th, 2022 – Atlanta, GA and Tulsa, OK – Payfactory, a fintech payment facilitator for software platforms, has announced a growth investment from Bluefin, the recognized integrated payments leader in P2PE encryption and vaultless tokenization technologies. Why PayFac model increases the company’s valuation in the eyes of investors. PayFac vs ISO is an illustrative example of natural selection and adaptation in the fintech world. Payment facilitation – PayFac – has helped many business ease the transition to a world dominated by digital payments. Payments Path to payment facilitation: Are you ready for the journey? November 10, 2021 Payment facilitation helps you monetize credit card payments by. Stripe benefits vs. When accepting payments online, companies generate payments from their customer’s debit and credit cards. Who Gets Involved in the PayFac Scene? There are five main elements which compose the payment facilitator landscape. Gateway. As small business grows, MOR model might become too restraining, while payment facilitators provide robust APIs, which sometimes allow merchants to customize each function separately, according to their. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. A payment processor is a company that works with a merchant to facilitate transactions. Beside simply reselling merchant accounts and serviced (as ordinary ISOs do), VARs provided consulting services, technical support, and even hardware solutions. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. The ISO acts as an intermediary between the merchant and the payment processor, taking care of merchant recruitment, sales, and. Both offer ways for businesses to bring payments in-house, but the similarities. Non-card payments like ApplePay and GooglePay for both in store and online. PayFac vs ISO. Integrate Evolve's payment service technology into your software platform and you can start offering your customers a seamless payments journey right away. Fiserv offers a full range of efficient in-house. However, becoming a payfac requires a significant amount of up-front and ongoing work, like opening a merchant account, obtaining a merchant ID (MID), and getting your PCI DSS certification. 40% in card volume globally. A payment processor sends card information from a merchant’s POS system to the card networks and banks involved in the transaction. First popularized by firms like PayPal and Square, the payments facilitator (payfac) model is reshaping the payments ecosystem, allowing nonpayments companies that adopt it to participate more fully in the payments revenue stream. . A PayFac will smooth the path. With a. Using payment facilitation, customers can be onboarded and verified quickly, with a faster underwriting process. Payfac-as-a-service vs. At TSYS, we’re building the future of payments. Create sandbox. If your platform needs to operate internationally and support sub-merchants in other regions, partnerships with local acquirers, gateways, and other service providers may be necessary. Sub Menu Item 5 of 8, Mobile Payments. Onboarding processBefore offering customers payment methods from popular card networks (Visa, Mastercard, etc. A PayFac is a processing service provider for ecommerce merchants. Fueling growth for your software payments. Stripe was founded in 2010 by two Irish siblings: then 22-year-old Patrick Collison and younger brother John, 20, positioning itself as the builder of economic infrastructure for the internet — launching their payfac flagship product in 2011. For Public Sector pricing, please contact us. Gateway Service Provider. The MoR is also the name that appears on the consumer’s credit card statement. Revolutionize Business. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. Global expansion. Global expansion. It is when a business is set up as a primary merchant account and provides payment processing to its sub-merchants. Gateways charge fixed fees per transaction, whereas payment service providers charge both fixed. Here are the best crypto payment gateway providers, including Coinbase Commerce, BitPay, and CoinGate. With white-label payfac services, geographical boundaries become less of a constraint. Sub Menu Item 4 of 8, Payment Gateway.